Venture Capital Programs
Venture capital programs encourage investors to make equity capital investments in British Columbia small businesses that will enhance and diversify the provincial economy. The government recognizes that creating new small businesses and expanding existing ones will contribute to a healthy economy. These programs give small business continuous access to early-stage venture capital to help them develop and expand.
Individual investors are entitled to a 30 percent refundable tax credit on the value of their investment, up to an annual maximum tax credit of $60,000. Corporate investors are entitled to a 30 percent non-refundable tax credit on the value of their investment, however, there is no tax credit limit. Both individual and corporate investors can carry unused portions of tax credits forward for four years. Individual investors who invest in the first 60 days of a calendar year can elect to apply their tax credits to their previous year's tax return. Corporate investors can-not carry tax credits back to the previous year.
Tax Credit Budget Update:
2015 Tax Budget Year
The 2015 tax budget year started on March 2, 2015 and will end on February 29, 2016.
As tax credit budgets are limited, tax credits are available on a first come first serve basis. Eligible Business Corporations and Venture Capital Corporations, with Equity Authorizations for the 2015 tax budget year, should claim tax credits on behalf of their investors as soon as possible after investment has been raised, and investors have completed a Share Purchase Report.
Tax credits are claimed through the Electronic Tax Credit Application system (eTCA) - link immediately below. Instructions on how to claim tax credits, and print tax credit certificates, are in How to Access eTCA.
Electronic Tax Credit Application System
Tax Credit Budgets
The Province of British Columbia does not in any way guarantee nor express an opinion as to the value of any shares issued by a venture capital corporation or an eligible business corporation, the financial condition of the corporation or the merits of any investment or business proposal.